Post-Earnings Report - Alcatel-Lucent

LONDON, March 10, 2015 /PRNewswire/ --

Editor Note: For more information about this release, please scroll to bottom.

Investor-Edge.com has issued free post-earnings report on Alcatel-Lucent (NYSE: ALU). On February 06, 2015, the company reported its financial results for Q4 FY14 and full year FY14 (period ended December 31, 2014). Click on http://get.Investor-Edge.com/pdf/?c=Alcatel-Lucent&d=10-Mar-2015&s=ALU to read our free earnings review on Alcatel-Lucent (Alcatel-Lucent). The company's gross profit improved 2% Y-o-Y for both Q4 FY14 and full-year FY14. Additionally, Alcatel-Lucent's gross profit margin increased by 130 basis points (bps) Y-o-Y in Q4 FY14 and 210 bps Y-o-Y in FY14. CEO of Alcatel-Lucent, Michel Combes, stated that Q4 FY14 and full year FY14 results underline the success of its turnaround. Our free coverage report can be accessed at:

http://get.Investor-Edge.com/pdf/?c=Alcatel-Lucent&d=10-Mar-2015&s=ALU

Earnings Overview 

During Q4 FY14, Alcatel-Lucent reported revenue of €3.68 billion compared to €3.76 billion in Q4 FY13. The company's Q4 FY14 revenue missed Bloomberg analysts' forecast of €3.78 billion. Alcatel-Lucent's Core Networking segment revenues improved 1% to €1.80 billion in Q4 FY14, primarily driven by growth in IP Routing, from €1.73 billion in Q4 FY13. However, the company's Access segment revenues declined 11% to €1.87 billion in Q4 FY14, from €1.98 billion in Q4 FY13. Free research on ALU can be downloaded in PDF format at:

http://get.Investor-Edge.com/pdf/?c=Alcatel-Lucent&d=10-Mar-2015&s=ALU

For Q4 FY14, Alcatel-Lucent's gross profit margin improved to 34.7% from 33.4% in Q4 FY13, driven by favorable mix and the reduction of fixed operations costs. The company reported gross profit of €1.28 billion in Q4 FY14 compared to €1.26 billion, in Q4 FY13. Alcatel-Lucent's net income in the reported quarter increased to €271 million, or €0.08 per diluted share, from €134 million, or €0.05 per diluted share, in Q4 FY13. Analysts from Bloomberg had expected Q4 FY14 net income of €207 million, or €0.08 per diluted share.

Alcatel-Lucent's Q4 FY14 segment operating cash flow stood at €518 million compared to €487 million in Q4 FY13 which reflects a decrease in operating working capital, notably a reduction in inventories. However, the company's free cash flow declined €264 million in Q4 FY14 from €361 million in Q4 FY13.

For FY14, Alcatel-Lucent's revenue came in at €13.18 billion compared to €13.81 billion in FY13. The company's FY14 revenue missed Bloomberg analysts' forecast of €14.64 billion. In FY14, Alcatel-Lucent's Core Networking segment revenues fell 2% to €5.97 billion from €6.15 billion in FY13. Furthermore, the company's Access segment revenues declined 4% to €7.16 billion in FY14 from €7.45 billion in FY13. Sign up and read the free analyst's notes on ALU at:

http://get.Investor-Edge.com/pdf/?c=Alcatel-Lucent&d=10-Mar-2015&s=ALU

During FY14, the company's gross profit margin was 33.4% compared to 31.3% in FY13. Alcatel-Lucent reported gross profit of €4.41 billion in FY14 compared €4.32 billion in FY13. The company's FY14 net loss narrowed down to €118 million, or €0.04 loss per diluted share, from net loss of €1.30 billion, or €0.54 loss per diluted share, in FY13. Analysts from Bloomberg had expected FY14 net loss of €272 million, or €0.16 loss diluted per share.

Alcatel-Lucent's FY14 segment operating cash flow surged to €494 million from €211 million in FY13. Moreover, the company reported a negative free cash flow of €420 million in FY14, versus a negative free cash flow of €657 million in FY13. Excluding restructuring cash outlays, Alcatel-Lucent reported positive free cash flow of €43 million in FY14. This compares to a negative free cash flow (excluding restructuring cash outlays) of €146 million in FY13.

Mr. Combes informed that through the execution of The Shift Plan, Alcatel-Lucent has improved its underlying profitability and free cash flow profile while it has solidified the entire organization. Entering 2015, the company is in a strong position to capitalize on profitable growth opportunities and will focus on operational excellence and quality of service, he added. Mr. Combes asserted that the achievements the company has made in its product portfolio and operational transformation makes Alcatel-Lucent confident to reach its positive free cash flow target in 2015. Visit Investor-Edge and access the latest research on ALU at:

http://get.Investor-Edge.com/pdf/?c=Alcatel-Lucent&d=10-Mar-2015&s=ALU

Stock Performance 

On the day of the earnings release, February 06, 2015, Alcatel-Lucent's stock edged 0.55% lower, finishing the session at $3.65. Since then, the stock has moved both ways with gains outperforming losses. On the last close, Monday, March 09, 2015, the company's shares ended 0.53% higher at $3.79. Alcatel-Lucent's shares vacillated between $3.77 and $3.81 during the session. A total of 3.87 million shares were traded which was below their three months average volume of 7.21 million shares. Over the last one month and past three months, the company's shares have gained 4.70% and 10.82%, respectively. However, the stock has fallen by 1.04% over the previous three trading sessions. Shares in the company closed above their 50-day and 200-day moving averages of $3.62 and $3.42, respectively. Furthermore, Alcatel-Lucent's stock has a Relative Strength Index (RSI) of 51.07.

Sneak Peek to Corporate Insider Trading 

In the last one month, Alcatel-Lucent has not reported any share transactions by insiders to the U.S. Securities and Exchange Commission (SEC). Complimentary in-depth research on ALU is available at:

http://get.Investor-Edge.com/pdf/?c=Alcatel-Lucent&d=10-Mar-2015&s=ALU

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